Symmetrical Triangle , Accumulation , Reversal Uptrend ?
Hello Traders!
- Please push the like button if you like the content or drop a comment to share your idea!
- Based on our 1D time frame chart and as the market makes the lower highs and the higher lows, GALA is recently trading inside a symmetrical triangle.
- Although the symmetrical triangle is a neutral pattern, the likelihood of a breakout is stronger towards the direction of the overall trend, meaning that if the symmetrical triangle has been formed after an ( uptrend ), the probability of a break is higher compared to a breakdown.
- After the big impulse that occurred on 5 Feb 2022, price action started to make lower highs and higher lows inside this triangle ,hence a consolidation phase within a downtrend is formed within the symmetrical triangle! from 22 Feb 2022 , and if we can go back a bit too 22 January 2022 we can see clearly a similar consolidation occurred then a breakout .It’s exactly this consolidation phase that is the reason why breakout/downs are usually followed by a strong volume.
-My scenario is sketched on the chart in blue patterns ,buyers are accumulating on level support 0.216$ - 0.232$ hoping to see a breakout from the resistance trendline of the symmetric triangle taking price higher towards level of resistance 0.271$-0.286$ , for me i prefer to stay on the sidelines for as long as the market is ranging and until there is a high certainty that the breakout/down is imminent. If buyers failed to push the price higher we could see an additional consolidation or even price could visit the last support at 0.167$ - 0.177$ if sellers took control.
As you know traders , I am a GALA lover and i will be watching GALA on higher time frame 1D or lower 4H and i will enter the market as soon the candle closes above the triangle along with a decent amount of volume which give me a confirmation that buyers are ready to push price higher!
Good Luck Traders
- Please push the like button if you like the content or drop a comment to share your idea!
- Based on our 1D time frame chart and as the market makes the lower highs and the higher lows, GALA is recently trading inside a symmetrical triangle.
- Although the symmetrical triangle is a neutral pattern, the likelihood of a breakout is stronger towards the direction of the overall trend, meaning that if the symmetrical triangle has been formed after an ( uptrend ), the probability of a break is higher compared to a breakdown.
- After the big impulse that occurred on 5 Feb 2022, price action started to make lower highs and higher lows inside this triangle ,hence a consolidation phase within a downtrend is formed within the symmetrical triangle! from 22 Feb 2022 , and if we can go back a bit too 22 January 2022 we can see clearly a similar consolidation occurred then a breakout .It’s exactly this consolidation phase that is the reason why breakout/downs are usually followed by a strong volume.
-My scenario is sketched on the chart in blue patterns ,buyers are accumulating on level support 0.216$ - 0.232$ hoping to see a breakout from the resistance trendline of the symmetric triangle taking price higher towards level of resistance 0.271$-0.286$ , for me i prefer to stay on the sidelines for as long as the market is ranging and until there is a high certainty that the breakout/down is imminent. If buyers failed to push the price higher we could see an additional consolidation or even price could visit the last support at 0.167$ - 0.177$ if sellers took control.
As you know traders , I am a GALA lover and i will be watching GALA on higher time frame 1D or lower 4H and i will enter the market as soon the candle closes above the triangle along with a decent amount of volume which give me a confirmation that buyers are ready to push price higher!
Good Luck Traders